In October 1998, the SAK trade union confederation's delegation for private sector services proposed measures aimed at improving Finland's service sector and creating jobs. These measures include changes in the tax structure.
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In October 1998, the SAK trade union confederation's delegation for private sector services proposed measures aimed at improving Finland's service sector and creating jobs. These measures include changes in the tax structure.
Two-thirds of Finland's employed labour force have jobs in the service sector, for which a continued growth trend is forecast. The importance of this field is highlighted by the fact that private sector services could create new jobs. Against this background, the delegation for private sector services of the Central Organisation for Finnish Trade Unions (Suomen Ammattiliittojen Keskusjärjestö, SAK), which represents a group of service sector unions, published a report entitled From self-service to service in October 1998. The document includes proposals on how to improve the scope for action in the service sector.
According to the delegation, by changing the tax structure it should be possible to offer more services - not only in shops and restaurants, but also direct to households. The delegation states that the taxation focus should be shifted from taxation of labour toward real estate, capital and environment taxes. In addition, income taxes for low-paid jobs should be decreased in order to make the work more lucrative. The possibility of income-related scaling of social security contributions should be clarified. The delegation also proposes a lowering of the high rate of value-added tax, or VAT (22%). The serving of food should be subject to the same VAT as foodstuffs (17%).
Active industrial policy measures should be directed equally to include the service sector, while the informal economy should be wiped out. The delegation further states that competition and tendering procedures should not entail a worsening of employees' terms of employment.
The delegation report also highlights the importance of safeguarding workers' physical and mental health and their ability to cope on the job. A further aim is to give attention to the reconciliation of work and family life, because the service sector is dominated by women. The male-dominated branches of the economy should also bear economic responsibility for costs to employers resulting from parental leave - such costs, arising mainly from mothers' parental leave, are concentrated in the service sector, whereas male-dominated branches can avoid them). Men, too, should be given increased possibilities of using their rights to parental leave, states the report.
Eurofound doporučuje citovat tuto publikaci následujícím způsobem.
Eurofound (1998), SAK seeks improvement of private services, article.